Final answer:
The new price of an item after a 20% increase is represented by 1.20 times the original price. If the original price is 'n' dollars, the new price is 1.20n.
Step-by-step explanation:
When the price of an item, which originally cost n dollars, is increased by 20%, the new price of the item can be calculated by adding 20% of the original price to the original price itself. To find 20% of n, we multiply n by 0.20 (since 20% is the same as 0.20 when expressed as a decimal). This gives us 0.20n. To find the new price, we then add this amount to the original price n, which gives us n + 0.20n = 1.20n. Therefore, the product of n and 1.20 represents the new price of the item after a 20% increase.
Let's represent the original price as n dollars. When the price is increased by 20%, it becomes n + 0.20n = 1.20n dollars. Now, we need to find the product of n and what number represents the new price of the item. This can be written as n * 1.20n = 1.2n^2 dollars.